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AN ACT GRANTING THE TUPI TELEPHONE COOPERATIVE
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AN ACT GRANTING THE TUPI TELEPHONE COOPERATIVE
Republic Act No. 9101
April 9, 2001
Case Overview and Summary
Summary of Republic Act No. 9101:Nature and Scope of Franchise (Section 1):
- Grants Tupi Telephone Cooperative, Inc. (the grantee) a franchise to construct, install, establish, operate and maintain a local exchange network, including public calling stations, wireless local loop and value-added services in the Municipality of Tupi, Province of South Cotabato.
- Allows the grantee to provide basic telephone service capable of accessing local, national, international and other networks.
Manner of Operation of Stations or Facilities (Section 2):
- The grantee's stations or facilities shall be constructed and operated in a manner that results in minimum interference on existing stations' wavelengths or frequencies.
- The grantee's operations and radiated power shall not exceed what is required to cover its allowed area of operation.
Authority of the National Telecommunications Commission (Section 3):
- The grantee shall secure a certificate of public convenience and necessity or appropriate permits and licenses from the National Telecommunications Commission (NTC) for the location, construction, installation and operation of its telecommunications systems.
- The NTC has the power to impose conditions on the construction, operation, maintenance, or service level of the telecommunications system.
- The NTC has the authority to regulate the construction and operation of the grantee's telecommunications systems.
- The grantee shall not use any frequency in the radio spectrum without authorization from the NTC.
Responsibility to the Public (Section 4):
- The grantee shall conform to the ethics of honest enterprise and shall not use its stations for obscene or indecent transmission, dissemination of false information, or assist in subversive or treasonable acts.
- The grantee shall provide basic or enhanced telephone service without discrimination, in the order of applications, up to the capacity of its local telephone exchange.
- If demand exceeds capacity, the grantee shall increase capacity, unless the expansion cost is less than the smallest viable local exchange, in which case the applicant shall defray the installation expenses.
- The grantee shall operate and maintain its stations, lines, cables, systems and equipment in a satisfactory manner and keep abreast with advances in science and technology.
Rates for Services (Section 5):
- The charges and rates for regulated telecommunications services of the grantee shall be subject to the approval of the NTC.
- The rates shall be unbundled, separable and distinct among the services offered, and regulated services shall not subsidize unregulated ones.
Right of Government (Section 6):
- The President of the Philippines has the right to temporarily take over and operate the grantee's stations, transmitters, facilities or equipment in times of war, rebellion, public peril, calamity, emergency, disaster or disturbance of peace and order, upon due compensation to the grantee.
- The radio spectrum is part of the national patrimony and the use thereof is a privilege that may be withdrawn anytime, after due process.
Term of Franchise (Section 7):
- The franchise is valid for twenty-five (25) years from the date of effectivity of this Act, unless sooner revoked or cancelled.
- The franchise shall be deemed ipso facto revoked if the grantee fails to:
- Commence operations within three (3) years from the approval of its operating permit or provisional authority by the NTC;
- Operate continuously for two (2) years; and
- Commence operations within five (5) years from the effectivity of this Act.
Acceptance and Compliance (Section 8):
- Acceptance of the franchise shall be given in writing within sixty (60) days from the effectivity of this Act.
- Nonacceptance shall render the franchise void.
Bond (Section 9):
- The grantee shall file a bond issued in favor of the NTC, in an amount determined by the NTC, to guarantee compliance with the conditions of the franchise.
- If the grantee fulfills the conditions after five (5) years from the date of approval of its permit, the bond shall be cancelled by the NTC. Otherwise, the bond shall be forfeited in favor of the government and the franchise ipso facto revoked.
Right of Interconnection (Section 10):
- The grantee is authorized to connect or demand connection of its telecommunications systems to any other duly authorized telecommunications systems in the Philippines for the purpose of providing extended and improved telecommunications services to the public, under mutually agreed terms and conditions, subject to review or modification by the NTC.
Gross Receipts (Section 11):
- The grantee shall keep a separate account of the gross receipts of its business and shall furnish the Commission on Audit (COA) and the National Treasury a copy of such account not later than the thirty-first (31st) day of January of each year for the preceding twelve (12) months.
Books and Accounts (Section 12):
- The grantee's books and accounts shall always be open to inspection by the COA or its authorized representatives.
- The grantee shall submit to the COA two (2) copies of the quarterly reports on the gross receipts, net profits and general condition of the business.
Warranty in Favor of National and Local Governments (Section 13):
- The grantee shall hold the national, provincial, city and municipal governments of the Philippines harmless from all claims, accounts, demands or actions arising out of accidents or injuries caused by the construction or operation of the grantee's stations, transmitters, facilities and equipment.
Sale, Lease, Transfer, Usufruct, etc. (Section 14):
- The grantee shall not lease, transfer, grant the usufruct of, sell nor assign this franchise or the rights and privileges acquired thereunder to any person, firm, company, corporation or other commercial or legal entity, nor merge with any other corporation or entity, nor shall the controlling interest of the grantee be transferred, whether as a whole or in parts and whether simultaneously or contemporaneously, to any such person, firm, company, corporation or entity without the prior approval of the Congress of the Philippines, except when such entity has a valid and existing legislative franchise for telecommunications or it is in pursuance of Section 16 of this Act.
- Any person or entity to which this franchise is sold, transferred or assigned, shall be subject to the same conditions, terms, restrictions and limitations of this Act.
Equality Clause (Section 15):
- Any advantage, favor, privilege, exemption, or immunity granted under existing franchises, or may hereafter be granted, shall ipso facto become part of previously granted telecommunications franchises and shall be accorded immediately and unconditionally to the grantees of such franchises, except for provisions concerning territory covered by the franchise, the life span of the franchise, or the type of service authorized by the franchise.
Separability Clause (Section 16):
- If any of the sections or provisions of this Act is held invalid, all the other provisions not affected thereby shall remain valid.
Repealability and Nonexclusivity Clause (Section 17):
- This franchise shall be subject to amendment, alteration, or repeal by the Congress of the Philippines when the public interest so requires and shall not be interpreted as an exclusive grant of the privileges herein provided for.
Reportorial Requirement (Section 18):
- The grantee shall submit an annual report to the Congress of the Philippines on its compliance with the terms and conditions of its franchise and on its operations within sixty (60) days from the end of every year.
Effectivity Clause (Section 19):
- This Act shall take effect fifteen (15) days from the date of its publication, upon the initiative of the grantee, in at least two (2) newspapers of general circulation in the Philippines.
Amends
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Statutes
Republic Acts
telecommunications
franchise
local exchange network
public calling stations
wireless local loop
value-added services
basic telephone service
national telecommunications commission
certificate of public convenience and necessity
operating permits
licenses
radio spectrum
rates and charges
regulated services
unregulated services
interconnection
gross receipts
books and accounts
warranty
sale
lease
transfer
usufruct
assignment
merger
equality clause
separability clause
repealability clause
nonexclusivity clause
reportorial requirement
effectivity clause
Law
AN ACT GRANTING THE TUPI TELEPHONE COOPERATIVE
Republic Act No. 9101
•April 9, 2001
Republic of the PhilippinesCONGRESS OF THE PHILIPPINESMetro Manila
Eleventh CongressThird Regular Session
Begun and held in Metro Manila, on Monday, the twenty-fourth day of July, two thousand.
REPUBLIC ACT NO. 9101 April 09, 2001
AN ACT GRANTING THE TUPI TELEPHONE COOPERATIVE, INC., A FRANCHISE TO CONSTRUCT, INSTALL, ESTABLISH, OPERATE AND MAINTAIN LOCAL EXCHANGE NETWORK IN THE MUNICIPALITY OF TUPI, PROVINCE OF SOUTH COTABATO
Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
Section 1. Nature and Scope of Franchise. - Subject to the provisions of the Constitution and applicable laws, rules and regulations, there is hereby granted to Tupi Telephone Cooperative, Inc., hereunder referred to as the grantee, its successors or assigns, a franchise to construct, install, establish, operate and maintain for commercial purposes and in the public interest, local exchange network, including public calling stations or pay telephone stations or wireless local loop and their value-added services in the Municipality of Tupi, Province of South Cotabato, and for such purpose provide basic telephone service capable of accessing...
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Amends
n/a
Amended by
n/a
Tags
Statutes
Republic Acts
telecommunications
franchise
local exchange network
public calling stations
wireless local loop
value-added services
basic telephone service
national telecommunications commission
certificate of public convenience and necessity
operating permits
licenses
radio spectrum
rates and charges
regulated services
unregulated services
interconnection
gross receipts
books and accounts
warranty
sale
lease
transfer
usufruct
assignment
merger
equality clause
separability clause
repealability clause
nonexclusivity clause
reportorial requirement
effectivity clause
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